1 The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reportsthe number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 62 students enrolled in those two courses. Data concerning the companys cost formulas appear below: Fixed Cost per Month Cost per Course Cost per Student Instructor wages $ 2,900 Classroom supplies $ 280 Utilities $ 1,210 $ 85 Campus rent $ 4,700 Insurance $ 2,400 Administrative expenses $ 4,000 $ 43 $ 4 For example, administrative expenses should be $4,000 per month plus $43 per course plus $4 per student. The companys sales should average $900 per student. The company planned to run four courses with a total of 62 students; however, it actually ran four courses with a total of only 58 students. The actual operating results for September were as follows: Actual Revenue $ 52,900 Instructor wages $ 10,880 Classroom supplies $ 17,210 Utilities $ 1,960 Campus rent $ 4,700 Insurance $ 2,540 Administrative expenses $ 3,846